The World of Warcraft Website has details on a new World of Warcraft annual pass program. Word is those who make this commitment will get several perks, including a free copy of Diablo III:

Diablo III FREE – Download the digital version via Battle.net for free when the game launches early next year. This is the full game, not a trial edition.

Tyrael’s Charger WoW Flying Mount – Ride for the Archangel of Justice on all current and future characters on a single World of Warcraft account. Tyrael’s Charger will arrive via in-game mail with the upcoming launch of patch 4.3.

Access to the Next WoW Expansion Beta Test – Get a guaranteed spot in the beta test for the next World of Warcraft expansion (at a time to be announced in the future).

I would tend to think, that they are not scared of SWTOR, or Guild Wars 2 much. But its bound to be a part of this move, along with player retention to WoW. I believe its definitely a combination of all 3.

And its not a bad plan ether from there view, they control B-net, they control the entire digital Diablo 3 aspect, its virtually all profit to them. And not to mention the cash they will rake in for that real money for items sold in the auction house or whatever that deal was that they are doing in D3.

All it costs them is cheap bandwidth to maintain your WoW account for the year. And the however many GB-size your digital copy of D3 costs to send to each player.

- That's a very nice everything you have there... ssssssssSSSSSSSSSSS -